An $8.1 million spending plan for the city of Pacific was approved at the June 19 board of aldermen meeting.
Spending will exceed projected revenue by about $1.2 million, which represents funds carried forward to complete the city hall expansion, officials said.
The budget began July 1, 2012, and goes through June 30, 2013.
The new budget includes a spending plan of $8,173,550 with $6,973,635 in revenue.
City Administrator Harold Selby presented the budget to the board, saying the city is in sound financial condition.
“The city of Pacific has seen the completion of the Osage Street improvement project with lights, sidewalks and trees,” Selby noted in the budget message.
“The Highway N sidewalk project is nearing completion, along with the Old Gray Summit project,” he said. “These much needed improvements continue to help our city accommodate our residents.
“The city has had the opportunity to display financial responsibility in this last year with receiving the highest grade ever by the state auditor,” he added. “As a city we will accomplish the goals we set out to do, create a city that attracts development and so on.”
Selby said the city will be moving the museum and combining it with the welcome center.
“This will be a great asset to the city,” he said. “The budget reflects the new government center and police station. This transformation is in progress, while the majority of staff continues to occupy the building. This addition was much needed for city government to be efficient and provide the much needed space for staff.”
Selby said the 2012-2013 budget is a map for the next 12 months. Circumstances may change, he said, but the city has displayed a proven track record in navigating around the trouble spots to keep it on a fiscally responsible course.
Staff will continue to search for opportunities, he said, such as grants for progress and work with the mayor and the board of aldermen through this next year.
The largest portion of projected city revenue is $3,973,935, which includes $2,763,500 from taxes; $238,200 from licenses; $114,374 in fees for services and $304,500 in inter-governmental revenue.
An additional $552,811 in special assessments, fines and forfeitures, and miscellaneous projects is included.
The city also anticipates receiving $703,930 in the water fund and $1,063,045 in the sewer fund. The city is projecting $43,600 from tourism tax, and $790,080 from the FEMA buyout.
Sleby said the city plans to spend $1,188,580 to complete the city hall expansion.
The city’s largest recurring cost is for operation of the police department, which is projected at $1,746,083, including $1,363,583 in personnel costs. The city will spend an additional $88,568 to operate the court and an additional $50,936 for animal control.
Street department costs for the next year will be $724,220, which includes $314,519 for personnel costs.
Spending for code enforcement will be $148,540, which includes $112,040 for personnel costs.
Planning department expenses will total $174,280, with $125,000 for the comprehensive plan.
Other planned spending includes: cemetery, $26,340; parks and recreation, $146,638; swimming pool, $76,016; and administrative costs, $310,075.
Planned debt expenses include: bond fee, $4,389; bond principal, $95,000; bond interest, $73,290; MoDOT note principal, $130,000; and MoDOT note interest, $17,854.
City hall personnel salaries will cost $319,337.
Increased spending is planned in both the water department and sewer department with a $126,391 rise in water department spending, while revenue remains relatively equal.
The $226,709 increase in sewer department spending will be partially offset by an anticipated $151,392 increase in sewer fees.